Increasing the Potential of Your Email File

Posted on by Beth Negus Viveiros

Overmailing isn’t going to necessarily increase the potential of your email file. In fact, it might do the opposite.

Matt Redion, president and CEO of Clario Analytics, noted at the recent NEMOA conference in Boston that companies which increase email frequency often see a decrease in their opt out rate. But this isn’t because recipients love the messages—it’s because they are “passively” opting out. Message are simply being deleted unread, or going straight to junk folders or places like  Gmail’s tabbed inbox.

It’s a common misconception that opt-outs are okay because those were marginal customers, he said. Marketers should consider attrition—sure, your file may be growing by say 400,000 names annually. But if you’re losing 340,000 annually as well, that’s going to catch up to you.

Likewise, marketers shouldn’t think that the effort required to reduce opt-outs outweighs the benefits. “If your average sale is $15, think $15 x 340,000—that’s $5.1 million in lost opportunity,” says Redion.

It’s pretty much impossible to reduce email opt-out rates to zero. But you can minimize opt-outs by optimizing the relevance of your messaging and testing to uncover the right frequency for various segments of your audience. There are three important factors to consider:

  1. Revenue attribution: You need to know your customer’s path to purchase. “This varies company to company,” he said. “Then, how do you project campaign performance.
  2. Modeling: Build the right models for your unique strategy. For example, depending on your business and focus, these could be based on channel preference, incremental sales, promotional sensitivity, lifetime value or digital engagement.
  3. Horizontal selection: Eliminate the least incremental messages related to purchasing for each customer. This will help you come up with a more targeted strategy to reach your best prospects.

 

More

Get Content Like This Delivered to Your Inbox

Related Posts

Chief Marketer Videos

by admin

Chief Marketer Top Shops

TRCO MARKETING WUNDERMAN VERTICAL MARKETING NETWORK UPSHOT TWO/TEN TRACK MARKETING GROUP TPN TIPTON & MAGLIONE TIC TOC TEAM EPIC TEAM ENTERPRISES TEAM DIGITAL PROMOTIONS THE STRATEGIC AGENCY SWITCH SOURCE MARKETING SOHO EXPERIENTIAL SLANT SCOUT SPORTS & ENTERTAINMENT RYAN PARTNERSHIP RUBIK MARKETING REVOLUTION RE:FUEL AGENCY REDPEG MARKETING RED MOON MARKETING PSE-PACKAGED SPORTS AND ENTERTAINMENT PRO MOTION PRIZELOGIC POWERPACT PGW EXPERIENCE NEXT MARKETING NATURAL SELECTION PROMOTIONS MOMENTUM WORLDWIDE MKTG MIRRORBALL MICHAEL ALAN GROUP MASTERMIND MARKETING MATCH MARKETING GROUP THE MARS AGENCY MARKETVISION MARKETING WERKS THE MARKETING STORE MARKETING RESOURCES MARKETING LAB THE MARKETING ARM MARKETING ACTIVATIONS GROUP MARDEN-KANE LIVE NATION MEDIA & SPONSORSHIP LIKEABLE MEDIA LEGACY MARKETING PARTNERS LEADDOG MARKETING GROUP LAUNCHFIRE LAGARD´ERE UNLIMITED KICKING COW PROMOTIONS JACK MORTON WORLDWIDE INTERACTIONS THE INTEGER GROUP INSPIRA MARKETING IN MARKETING SERVICES IC GROUP HMT ASSOCIATES, INC. HELLOWORLD GROW MARKETING GOOD SOLUTIONS GROUP GOLDNFISH MARKETING GROUP LLC GMR MARKETING GEORGE P. JOHNSON GEOMETRY GLOBAL GENERATION Z MARKETING GAGE MARKETING GROUP FUSE, LLC FORMULA STREET INC. FLUENT FCBX FCB/RED FAME ESCALATE THE ELEVATION GROUP EASTWEST MARKETING GROUP DON JAGODA ASSOCIATES DEPARTMENT ZERO CONCEPT ONE COMMUNICATIONS COLLABORATIVE MARKETING GROUP COLANGELO CATAPULT CARDENAS MARKETING NETWORK BRANDFORCE BRAND CONNECTIONS BLUE CHIP MARKETING WORLDWIDE BFG COMMUNICATIONS BECORE BDA ATTACK! MARKETING A2G ARC ALL TERRAIN ALLIED INTEGRATED MARKETING ALLIED EXPERIENTIAL ALCONE ACTIVENT MARKETING, LLC THE A TEAM